Module 3: Recording of Financial Transaction - Cash Receipts and Cash Disbursements

All transactions involving receipts of money are recorded in the Cash Receipts Book. Example: collections of receivables from customer, cash received from borrowings.

All transactions involving payments of money are recorded in the Cash Disbursements Book. Example: payments to suppliers, payments for loan, employees’ salaries.

Remember: Cash Receipts and Cash Disbursement Books must be presented to the BIR for stamping before it can be used.

A – Sample Cash Receipts Book (Excel format)

Notes:
1. An account description is indicated under column 6 for each cash receipt transaction.
2. Account description is relevant to the preparation of financial statements.

B – Sample Cash Disbursements Book (Excel format)

Notes:
1. Account description is indicated under column 11 for each cash payment transaction.
2. Account description is relevant to the preparation of financial statements.
3. Accounts are classified into the following Account Categories: Asset account, Liabilities account, Owner’s Equity account, Income account, and Expense account.
4. These account categories are the essential parts of the financial statements.